Korean Survey: High Hopes for New Tech, Less for Blockchain and Metaverse

Grab, the Nasdaq-listed Southeast Asian superapp, has signed a strategic memorandum of understanding (MOU) with StraitsX, a Singapore-based stablecoin payment infrastructure provider, to develop Web3 wallets and a payment network powered by stablecoins. A Nov. 18 press release said Web3 wallets will be added to the Grab app, allowing merchants in Asia to accept stablecoin payments from local and overseas customers.Photo by Grab on UnsplashXSGD and XUSDUnder the partnership, Grab users may be able to hold and use stablecoins like XSGD and XUSD, which are pegged to the Singapore dollar and U.S. dollar respectively, and convert between fiat and other stablecoins in-app, provided they meet regulatory compliance requirements. Grab expects the integration to facilitate real-time cross-border settlement with transparent foreign-exchange rates, improving efficiency through faster, cheaper, and compliant transactions. The superapp operator seeks to create a single, interoperable Web3 payment framework that eliminates the need to switch between country- or method-specific systems. Merchants are expected to benefit from enhanced liquidity and capital management via programmable settlement features enabled by smart contracts and on-chain treasury tools. ASEAN’s regulatory gapsThis industry development comes amid growing interest in digital finance among intergovernmental organizations. In a blog post, Yasuto Watanabe, Director of the ASEAN+3 Macroeconomic Research Office (AMRO), noted the private sector’s growing involvement in stablecoins, outlining their advantages and risks. He said stablecoins offer greater accessibility and enable faster, cheaper transactions compared with traditional banking.  Stablecoins are widely used for remittances in Southeast Asia, particularly in the Philippines and Vietnam, and are also a common tool for small businesses engaged in cross-border trade. Watanabe also warned of risks such as anonymity-driven money laundering and capital control evasion. He also pointed to concerns that the rise of U.S. dollar–denominated stablecoins could undermine monetary sovereignty. In this context, the AMRO Director underscored the importance of the ASEAN+3 region addressing existing gaps through concerted action. 12M USDT seized in Thailand crackdownGovernment concerns are reflected in recent crypto-related crimes making headlines. In a recent case, Thai authorities, in coordination with the U.S. Secret Service, detained 73 individuals and confiscated assets valued at more than 522 million baht. About 400 million baht of that total was in USDT (12 million USDT). Tether said in an announcement that it supported law enforcement in the operation. The emergence of stablecoins is clearly transforming the traditional financial landscape. Companies are racing to harness new technologies, while regulators focus on combating illicit activity and strengthening consumer protections. As the sector evolves, new opportunities and risks will surface, and the balance between innovation and safety will be a key question moving forward. 

Laser Digital, the crypto arm of Nomura, Japan’s largest investment bank and brokerage group, in collaboration with WebN Group, has unveiled Libre, an institutional Web3 protocol powered by Polygon technology. WebN Group is an incubation hub for fintech and Web3 innovators. It’s backed by Laser Digital and Alan Howard, the co-founder of alternative investment management platform, Brevan Howard.Photo by Shubham's Web3 on UnsplashFocusing on asset tokenizationLibre leverages asset tokenization and smart contracts, aiming for regulatory-compliant issuance and management of alternative investments. According to a statement, the protocol is built using the Polygon Chain Development Kit (CDK), facilitating the development of purpose-built, zero knowledge-powered Layer 2 blockchains on Ethereum. Dr. Avtar Sehra, the founder of Libre, has been actively involved in real-world asset (RWA) tokenization since 2014. His previous experience includes founding the UK FCA-licensed tokenization platform Nivaura. The protocol's applications extend beyond primary issuance services, with additional use cases such as collateralized lending and automated rebalancing of private investment portfolios. In a press release which was published on Wednesday, Sehra commented on the project:”While our MVP objective is to increase AUM by launching the primary issuance service and driving distributor integrations, we are also working closely with our partners and clients on our 2024 product roadmap, which includes collateralized lending and automated portfolio rebalancing — building the future of wealth APIs.” Libre's anticipated launch is in Q1 2024, with investment management firms Brevan Howard and Hamilton Lane poised to become the first issuers on the platform. The industry has shown growing interest in leveraging blockchain technology to revolutionize the distribution and accessibility of alternative asset funds. Making blockchains ‘mainstay financial rails’Polygon’s Indian co-founder Sandeep Nailwal outlined on a social media post on Wednesday the relevance of a dedicated network relative to real-world assets. He wrote:”RWAs have the potential to make blockchains mainstay financial rails at a global scale. I have always believed that RWAs would need their own regulated, compliant environment. Public shared chains like Ethereum mainnet, or L2 mainnets are intrinsically permissionless and not the perfect for many types of RWAs.” With that outlook in mind, Nailwal believes that Libre showcases the potential of blockchain technology to unlock new opportunities for investors globally. Natalie Smith, Head of Strategy at Brevan Howard, said, “the tokenization of funds allows us to offer investors a new way to access our strategies, providing them with optionality, and further develops our platform to serve client needs.” Competing projectsLibre is not the sole project exploring the tokenization of funds. In November, JPMorgan's Onyx collaborated with asset and wealth managers WisdomTree and Apollo, along with various blockchain technology providers, on a blockchain interoperability proof-of-concept for investment portfolio management. SC Ventures, the Singapore-based investment and innovation arm of Standard Chartered, also entered the tokenization space by launching Libeara, its tokenization platform. The SGD Delta Fund, a tokenized Singapore-dollar government bond fund, recently received an AA rating from Moody's after becoming the first fund to use Libeara. The first tokenization platforms have tended to be run on private blockchains. It will be interesting to watch the development of Libre as it’s the first time a financial institution-focused layer 2 network is being built, with final settlement on the Ethereum blockchain. 

Dubai-based Emirates NBD, one of the United Arab Emirates’ (UAE) top banks, has enabled a crypto trading service via its subsidiary bank, Liv Digital Bank. Liv Digital Bank has launched the crypto trading service through its Liv X mobile banking app. App users now have the ability to buy, hold and sell a range of cryptocurrencies. Users will have access to custody solutions. They can control both virtual currencies and fiat currencies from within one application.Photo by Markus Winkler on UnsplashAquanow collaborationThe offering has been brought online through a collaboration with digital assets infrastructure provider Aquanow. Taking to X, Aquanow CEO Phil Sham said that "incumbent institutions like Emirates NBD will play a pivotal role in driving the next wave of digital asset adoption.” Aquanow has acquired the necessary licensing from the Virtual Assets Regulatory Authority (VARA) in Dubai to enable the service offering on a compliant basis. Sham told Cointelegraph that the collaboration “showcases how traditional banking and digital assets can coexist, providing consumers with seamless, secure, and compliant access to the evolving digital economy.” Zodia as digital asset custodianZodia Custody, a virtual asset custodian that serves institutional clients, has been chosen to custody assets held as a result of crypto trading on the app. The custodian, a subsidiary company of British multinational banking group Standard Chartered, launched its service in Dubai back in 2023. Emirates NBD is government-owned and the UAE’s second largest bank. The service will facilitate users in trading Bitcoin (BTC), Ethereum (ETH), Solana (SOL), XRP, Cardano (ADA) and some other cryptocurrencies. The bank’s Group Head of Retail Banking and Wealth Management, Marwan Hadi, commented on the development, stating: “Offering cryptocurrency on Liv X is the next step towards the overall vision of Liv being a pioneer in innovation and excellence.” He added that “with the highest crypto adoption rate in the UAE, [Emirates NBD is] keen to launch [its] own virtual asset offering to capitalise on this trend.” This is not the first touch point with the crypto sector for the Emirates NBD subsidiary. Last year, Liv Digital partnered with tokenized real-world assets (RWA) firm Ctrl Alt. Accessing Ctrl Alt’s RWA tokenization expertise, Liv is opening investing opportunities for its customers in the area of tokenized assets. In November 2024, Emirates NBD signed up as a member of the Partior Network, the distributed ledger technology (DLT) clearing and settlement network. Partior uses tokenized instruments for the wholesale settlement of cross-border payments in conjunction with correspondent banks. In the past, the Dubai-based bank had made efforts to educate its customers with regard to the benefits of cryptocurrency and blockchain. Last year, American blockchain analysis firm Chainalysis reported that the Middle East and North Africa (MENA) accounted for 7.5% of global digital asset trading volume over the course of 12 months from July 2023 to June 2024. Chainalysis itself chose Dubai to set up its regional headquarters in May 2024.